Where should I pay my taxes?
Working Abroad
- Discussing the 183-day rule
- What currency will I be paid in overseas?
- Do I need a work permit overseas?
- Do I need special insurance while working abroad?
- What is the difference in cost of living between countries?
- Where should I pay my social security?
- Where should I pay my taxes?
- Can I work for up to 183 days abroad without paying tax?
- Do I need to pay tax and social security when I am working abroad?
In general terms, unless exemptions have been applied for and approved prior to starting work, tax should be paid where you are physically working and earning your money.
For example, if you have lived and worked in the UK and then move to France, you should pay tax in the UK up to the date of your departure and then tax in France from your first day of work there.
However, there is an extra issue to do with tax residency: unless your contract in France keeps you out of the UK for at least a full UK tax year, you will remain UK tax-resident and this needs to be considered when assessing your overall tax situation. However thanks to the double taxation treaty between France and the UK you will not be taxed twice on the same remuneration.
Finally, even if your employer is based in a different country, your income tax liabilities do not change. For example if you are employed by a UK company and assigned on a project at a client based in the Netherlands, tax must normally be paid in the Netherlands, from day one, not in the UK.